STAND. COM. REP. NO. 2536

 

Honolulu, Hawaii

                  

 

RE:    S.B. No. 2910

 

 

 

Honorable Colleen Hanabusa

President of the Senate

Twenty-Fifth State Legislature

Regular Session of 2010

State of Hawaii

 

Madam:

 

     Your Committee on Judiciary and Government Operations, to which was referred S.B. No. 2910 entitled:

 

"A BILL FOR AN ACT RELATING TO REAL PROPERTY,"

 

begs leave to report as follows:

 

     The purpose of this measure is to prohibit a foreclosing mortgagee or mortgagee who acquires a property from requiring that a buyer purchase title insurance or escrow services from any particular vendor as a condition of sale.

 

     Your Committee finds that the federal Real Estate Settlement Procedures Act prohibits a seller from requiring the buyer to purchase title insurance from a particular insurer as a condition of the sale, regardless of whether or not the property was acquired by foreclosure.  The federal law, however, applies to title insurance and not escrow services and this measure will provide increased protection for consumers.

 

     As affirmed by the record of votes of the members of your Committee on Judiciary and Government Operations that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2910 and recommends that it pass Third Reading.

 

Respectfully submitted on behalf of the members of the Committee on Judiciary and Government Operations,

 

		____________________________ BRIAN T. TANIGUCHI, Chair